Xiaomi reported fourth-quarter revenue for 2022 of 66.5 billion yuan, roughly 9.7 billion US dollars based on the March 24 exchange rate. The result represented a 23% drop from the same period in the previous year, a detail reported by Yahoo Finance. The quarterly performance reflects a shifting landscape for the company amid broader macroeconomic headwinds and ongoing public health challenges that influenced consumer demand worldwide during 2022.
The smartphones division accounted for the steepest decline within Xiaomi’s portfolio, with revenues in that segment sliding by 27%. Management attributed the setback to softer global demand for mobile devices, a consequence of economic volatility and lingering effects from the COVID-19 situation in China during the year. The pattern mirrors broader trends seen across the global handset market, where pricing pressures and saturated markets hampered growth for premium and midrange devices alike.
In contrast, some segments showed resilience or modest gains. The home appliances and smart home IoT category posted a revenue decrease of 6.1%, reaching 79.8 billion yuan. This softening aligns with ongoing supply chain frictions and consumer spending adjustments but also underscores Xiaomi’s diversified earnings base, which includes non-phone hardware and connected devices that contribute to steady, if slower, top-line performance.
On a more positive note, Xiaomi highlighted several areas of expansion during the period. Global television sales advanced by a slim 0.6%, signaling continued but measured penetration in the TV segment across multiple markets. Internet services also registered a modest uptick, increasing by 0.4% and delivering 28.3 billion yuan in revenue. This line of business includes a mix of app ecosystem monetization, advertising, and subscription-driven revenue streams that can provide offsetting momentum when device volumes face headwinds.
The bottom-line result told a different story, with net profit dropping nearly tenfold to around 2.5 billion yuan for the quarter. The decline in profitability points to higher costs, competitive pricing pressure, and the impact of geographic mix on margins. The company remains focused on balancing cost discipline with investment in core growth engines, aiming to preserve long-term profitability even as near-term earnings show volatility.
Looking back, Xiaomi’s year-end performance illustrates a company navigating a complex global environment. While smartphone demand cooled amid economic instability, other product categories and services offered a stabilizing, though modest, contribution to revenue. The firm continues to pursue geographic diversification, ongoing product innovation, and enhancements to its internet services ecosystem as part of a broader strategy to sustain growth beyond the core handset business. Reports also suggest Xiaomi remains attentive to supply chain resilience, pricing strategies, and the evolving preferences of consumers across different regions, including North America and Europe, as it charts its next steps in a competitive technology landscape.